Australian taxi regulators crack down on Uber

The company has ruffled feathers in the transport industry since landing in Australia back in 2012. The backlash has largely focused on UberX, the cheaper variant of its transport service that enables members of the public to chauffeur passengers around for a fee.

In the state of Victoria, the Taxi Services Commission (TSC) has issued the car-sharing company with a cease-and-desist letter, outlining concerns over passenger safety and demanding it halt the UberX service within the state.

"The cease and desist letter requires Uber to immediately cease and desist offering the UberX product in Victoria," a TSC spokesperson confirmed to Mashable. "Unaccredited drivers are not subject to the same ongoing criminal checks that accredited drivers are, and this poses a safety risk to passengers and drivers."

Meanwhile, in New South Wales, Sydney's taxi drivers have banded together and demanded the government clamp down on the business.

"Ride sharing is bad. We all know ride-sharing is undercutting our business. We all know ridesharing is not fair competition," NSW Taxi Council Chief Executive Roy Wakelin-King told a meeting of taxi operators, according to the ABC. "We're saying to the government, please uphold the law."

Wakelin-King is referring to the Passenger Transport Act, which dictates that drivers taking payments in exchange for rides must be appropriately accredited. This and similar laws around the country have led state governments to threaten Uber drivers with fines, ranging from A$1,700 in Victoria to A$110,000 in New South Wales.

While Uber has not shown any intention of discontinuing UberX, it has expressed a willingness to work with the authorities to break the deadlock.

“We understand that introducing change can be difficult but we continue to work with governments in Australia and around the world to recognise the role ridesharing plays in improving transport options for their cities,” an Uber spokeswoman told The Guardian. “This includes working closely with them on accrediting UberX partners in Victoria. We will always stand by our partners. Uber doesn’t believe anybody should be fined for providing safe, reliable and affordable transport.”

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